Schmidt v. Commissioner
United States Tax Court
Petitioner owned 812 of 1,353 shares of Highland Co., a road construction corporation, having a total basis of $ 62,440. In 1965, pursuant to a plan of complete liquidation, the corporation sold its tangible assets and distributed $ 44,000, pro rata, to its stockholders.
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Petitioner owned 812 of 1,353 shares of Highland Co., a road construction corporation, having a total basis of $ 62,440. In 1965, pursuant to a plan of complete liquidation, the corporation sold its tangible assets and distributed $ 44,000, pro rata, to its stockholders. Its remaining assets, consisting of cash, "street warrants" and accounts receivable had an aggregate face value of $ 47,149.85. Its net worth, per books, was $ 42,644.71. Petitioner received $ 26,406.51 of the liquidating dividend, leaving $ 36,033.49 of her basis unrecovered as of the end of 1965. Her equitable interest in…
1Opinion of the Court
Bruce, Judge:
Respondent determined a deficiency in the income tax of the petitioner for 1965 in the amount of $1,954.33. The only issue presented is whether petitioner is entitled to a capital loss deduction in 1965 on 812 shares of stock which she owned in the Highland Co.
FINDINGS OF FACT
Most of the facts have been stipulated and the stipulation, together with the exhibits attached thereto, is incorporated herein 'by this reference.
Petitioner Ethel M. Schmidt resided at 2147 Tyler Lane, Louisville, Ky., at the time the petition herein was filed. She filed an individual Federal income tax…
2Cases cited15 opinions
- Lucas v. American Code Co.Supreme Court of the United States · 1930
- Weiss v. WeinerSupreme Court of the United States · 1929
- Dresser v. United StatesUnited States Court of Claims · 1932
- Gowen v. Commissioner of Internal RevenueCourt of Appeals for the Sixth Circuit · 1933
- Hyman v. HelveringCourt of Appeals for the D.C. Circuit · 1934
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3Cited by2 opinions
- H.J. Heinz Co. & Subsidiaries v. United StatesUnited States Court of Federal Claims · 2007
- Schmidt v. CommissionerUnited States Tax Court · 1970